Comments on: Dealing with debt: America needs a growth experimenthttp://blogs.reuters.com/james-pethokoukis/2010/05/10/dealing-with-debt-america-needs-a-growth-experiment/
Politics and policy from inside WashingtonTue, 14 Oct 2014 12:57:43 +0000hourly1http://wordpress.org/?v=3.8.3By: STORYBURNcom2http://blogs.reuters.com/james-pethokoukis/2010/05/10/dealing-with-debt-america-needs-a-growth-experiment/comment-page-1/#comment-8240
Tue, 11 May 2010 02:24:34 +0000http://blogs.reuters.com/james-pethokoukis/?p=3838#comment-8240Chinese firms are moving manufacturing plants to the US because land is cheaper here than in Beijing. THAT is growth

]]>By: schadha100http://blogs.reuters.com/james-pethokoukis/2010/05/10/dealing-with-debt-america-needs-a-growth-experiment/comment-page-1/#comment-8237
Mon, 10 May 2010 23:47:08 +0000http://blogs.reuters.com/james-pethokoukis/?p=3838#comment-8237Spending cuts is not easy to do while fighting two wars overseas and with the majority of populace worse off than before.In the name of growth here, all we can see is the skimming of money from the middle class and being syphoned into the speculative activity by the unregulated financial trading industry who in the name of allocating capital are churning it for short term gains to line their pockets and balk in the name of paying their share of taxes though have survived by the taxed money bailouts.The financial markets have evolved to be worse than the casino and wagering activity.
]]>By: evolutishttp://blogs.reuters.com/james-pethokoukis/2010/05/10/dealing-with-debt-america-needs-a-growth-experiment/comment-page-1/#comment-8236
Mon, 10 May 2010 23:46:32 +0000http://blogs.reuters.com/james-pethokoukis/?p=3838#comment-8236We do not have much to brag about. Indebtedness, our planet in peril; it’s offsetting to us all. One would expect a consensus and a coarse of action. Why is our expectation violated? What pushes us into inactivity?

Solutions do not emanate from a monetary economy. This monetary system has taken Babylon, Greece, Rome over a cliff. Ego oriented, antiquated [4000 years], it seems quaintly out of place, in the technological world of today.

Not surprisingly, our 5 senses correlate with our needs for clean food, clean water, safety and reproduction. The senses of touch, smell, taste, sound, and of sight. These are resource based research, tools. [As an aside, Homo sappiens respond highly to the “look and feel” of Apple products. That is how we “roll”.] We all researchers in our own right.

The planet provides the resources and our survival is a testament to a high functioning, ability to find and use these resources. We get together and passionately volunteer our time and energy to promote the freedom. If u want high functioning people, u design around and stay within this simple, stackable, 5 sense, system. When u put homo sapiens outside this five sense, research capabilitiy u have people in the streets of Rome, Germany

Funny, no sense of an on going monetary computation, required to sustain life?

Somewhere along the way we picked up this parasite that promotes, taxation, indebtedness, aggression greed…etcetera, etcetera, U could help me fill many pages. As u mention trying to take more from rich people is just the flipside of shameless commerce. This parasite pounds a nail thru the forehead of every homo sapien on the planet poor and rich alike. The evidence shows, as reported world wide, in many, languages, that this monetary system threatens our freedom.

As for human flourishing, when u care about the monetary system u care about the wrong system. When a parasite is found do U promote, regulate – “fix” it?… or eliminate and replace with a resource based, system, that we are designed to deal with? The wealthy need not fear loss, as they will enjoy positions of extremely high influence and with their leadership, we have never been more capable. I expect we will have something to brag about. TICK – TOCK

I can understand the rationale for cutting spending, and not raising taxes. First, raising taxes reduce growth, and thereby hurt revenue in long term. Second, when policymakers raise taxes, and either dont cut spending or try and do both, they are actually thinking to themselves, “hey we will be raising more money, so why not build that new pet project, or fund my little study group or etc…” Raising taxes promotes pork barrel spending, while cutting spending, well, obviously reduces it.

Interestingly enough, we are witnessing this occurring in the US. Most states are taking a large axe to their budgets, and there is little talk of raising taxes. If they follow through, and pin the unions to the mat, then the states fiscal future may end up alright.

Unfortunately, the elephant in the room, which is not addressed by spending cuts, is entitlements. Unless they are addressed, specifically public workers’ pensions and health benefits, then I dont see how the states can capitalize on the spending cuts, since funding entitlements will always eat into any savings.

]]>By: REDruinhttp://blogs.reuters.com/james-pethokoukis/2010/05/10/dealing-with-debt-america-needs-a-growth-experiment/comment-page-1/#comment-8233
Mon, 10 May 2010 20:35:33 +0000http://blogs.reuters.com/james-pethokoukis/?p=3838#comment-8233Kindly note that ‘no longer feathering the nest of teacher’s unions’ is also ‘paying teachers the lowest amount possible, thereby guaranteeing that our teachers are as barely competent and motivated as possible to teach the next generation’…which is self-defeating.

Also, all government spending aimed at spending areas is ‘pork’, depending on whether you got the money, or the other guy did. You can cut his paycheck all you like, don’t cut ours, we aren’t pork, we’re a vital national investment!

Now, paying for basic research is great, but just means that more and more companies will cede the research to the government as a cost center, then go and make the money off the discoveries. Good or bad? Hard to tell.

==Bob

]]>By: mckibbinusahttp://blogs.reuters.com/james-pethokoukis/2010/05/10/dealing-with-debt-america-needs-a-growth-experiment/comment-page-1/#comment-8232
Mon, 10 May 2010 19:50:48 +0000http://blogs.reuters.com/james-pethokoukis/?p=3838#comment-8232If you are arguing that austerity measures are the best approach to economic reform for other Western democracies, then let’s test that hypothesis in the US. Specifically, if California (for example) required a Federal bailout and the US imposed austerities upon Californians similar to those now being imposed upon Greeks by the EU/IMF, would Californians consent? For more, visit the link below and leave your opinion or views:

]]>By: BillPettihttp://blogs.reuters.com/james-pethokoukis/2010/05/10/dealing-with-debt-america-needs-a-growth-experiment/comment-page-1/#comment-8231
Mon, 10 May 2010 19:04:10 +0000http://blogs.reuters.com/james-pethokoukis/?p=3838#comment-8231Very interesting piece. As always, cutting spending comes down to politics–nothing more. I am not sure to what extent we have the political environment in the US to implement the kind of cuts that you suggest.

Certainly the overall mood in the electorate supports dealing with the deficit and spending, but when polled on individual entitlements and government programs that consensus and support can quickly evaporate. This means that while Congress and the President may want to implement a plan to cut spending the overall initiative could easily be scuttled by individual politicians protecting their electoral chances with constituents by voting against or killing specific cost-reduction measures.

Unless someone is forcing the US to cut spending as is the case in Greece–and, therefore, providing political cover for individual politicians–it is hard to imagine progress on this front in the near term.